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Thursday, March 8, 2018

Thrifty Thinking: Three Ways To Use Tax Season To Your Advantage

Paying your taxes isn’t all bad. In fact, there are several ways you can actually earn money from your taxes. Working class people can actually leverage their taxes into long-term financial gains with three simple ideas from Timolin Langin, a public school teacher who has earned and invested her way to millionaire status. Using these common sense tax tips along with the other easy-to-follow steps in her book, Mind Over Money; How to Live Like a Millionaire on Any Budget, anyone can start to live the life of their dreams.

Timolin Langin has a three-prong approach to using taxes as a way to grow your income long-term.

vShow More to get More

ØYou want to take as many lawful deductions as possible, but make sure every penny earned is accounted for. Too many people try to hide money from a part-time job or odd jobs they do for cash. Declaring more money actually proves a higher income, which can lead to increased credit limits, higher loan amounts and better debt-to-credit ratio. If you ever want to buy a car, get a loan or even buy a home your ability to prove a higher income will help secure a loan and help lower the interest rate.

vReinvest your Refund

ØWhen you get your refund, reinvest it in yourself..

§50% should go back into your budget to pay for your monthly needs; bills, food, etc.

§20% will go into paying debt reduction. Use it to pay down any debt with a high interest rate first.

§20% must go into savings. Having a fund for unforeseen needs is a priority. If you don’t already have one, this is a great jumpstart. If you already have a rainy day fund, this portion of your money can be invested in forwarding your passion project.

§10% can go towards giving back. A donation is a great way to start the cycle for next year.

vGive in order to Get

ØThere are several ways to Give; from donating items to local charities like The Salvation Army, to donating cash to your favorite charity. Even tithing through your church or place of worship is a way to include a deduction. Not only are you helping a good cause, but also making money by lowering your taxable income. Also, numerous studies show that those who are givers and have a stronger social connection with the world are more likely to receive generosity from others down the line.

vBonus Tip

ØIf you are an Entrepreneur, you can split your Giving Back portion into 5% and 5%. Give back half and invest the other half in your business.

Timolin Langin has become a millionaire on a teacher’s salary. A veteran teacher, author, real estate investor, and world traveler, Timolin has built an impressive financial portfolio that includes eight properties in Los Angeles, one of the most expensive real estate markets in the country.

In her first book, Mind Over Money: How to Live like a Millionaire on any Budget (Westbow Press, 2016), Timolin highlights the major impact emotional spending/overspending has on wealth building, outlines specific tasks one can take to increase wealth and decrease debt through strategic spending and saving techniques, and offers sage advice on investments, entrepreneurship and more so that we can all live the life of our dreams. She proves that financial success is less about actual income and more about effective money management, passion, purpose, and a zest for living. For more information, please visit:www.LiveLikeAMillionaireNow. com and view her Media Reel.

“I hope you use my wisdom to transform your financial life from surviving to thriving. Living like a millionaire means being able to do the things you are passionate about with your money.”